EU Consumer Groups Lodge Complaint Against Meta Platforms' Paid Ad-Free Service, Alleging Targeted Issues
BRUSSELS, Nov 30 (Reuters) — Meta Platforms' (META.O) newly introduced paid ad-free subscription service in Europe is facing legal scrutiny from the European Consumer Organisation (BEUC) and 18 of its members. The group filed a joint complaint with the network of consumer protection authorities (CPC) on Thursday, citing alleged violations of EU consumer laws. This move comes just two days after advocacy group NOYB lodged a complaint with the Austrian privacy watchdog, claiming that Meta's subscription service effectively involves paying for privacy protection.
Meta has positioned the ad-free service, applicable to Facebook and Instagram, as a response to EU regulations mandating user choice in data collection for targeted advertising. However, BEUC has raised concerns, accusing Meta of breaching EU consumer law through "unfair, deceptive, and aggressive practices." BEUC Deputy Director General Ursula Pachl highlighted issues such as pressuring users to make hasty decisions by partially blocking services and providing misleading information.
The consumer group also expressed skepticism about the effectiveness of the new service, suggesting that user data might still be collected for alternative purposes despite subscription selection. Additionally, BEUC criticized the "very high subscription fee for ad-free services," stating that such pricing could discourage users. Pachl emphasized that consumers shouldn't have to pay to safeguard their privacy and argued that the cost might push individuals to consent to Meta's profiling and tracking.
The ad-free service, priced at 9.99 euros ($10.96) monthly for web users and 12.99 euros for iOS and Android users, has been defended by Meta as consistent with the pricing models of other tech platforms like Google's YouTube, Spotify's premium services, and Netflix. BEUC's complaint adds to the growing legal challenges for Meta in the EU, raising questions about the company's adherence to consumer protection regulations in its pursuit of compliance with data privacy rules. ($1 = 0.9112 euro)
Reporting by Foo Yun Chee in Brussels
Editing by Matthew Lewis
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